Blossom Mansions located in Lorong 37 Geylang has been launched for en bloc sale with the owners setting a reserve price of S$32.8 million.
This is the latest addition to large number of properties that are being launched in the Hot collective sale market.
The owners have hired Huttons Asia as the marketing agents for the sale. 90% of the 20 unit holders have so far given their consent to the en bloc sale.
Going by the reserve price the land rate would work out to S$1,262 psf ppr considering the 25,990.73 sq ft gross floor area the property encompasses.
The site has 2.8 plot ratio and given its high development baseline no development charges are payable.
The 823.8 sq m freehold site according to the 2014 Master Plan has been zoned for residential and institutional use and has a height ceiling of eight storeys.
According to the marketing agent the site has the potential to be redeveloped into a 34 unit property with an average unit size of 70 sq m.
However, market watchers are a little sceptical about the prospects with large number of en bloc sales numbering 30 yet to attract a potential buyer.
Alan Cheong, Senior Director at Savills Singapore says that developers have created large land banks in the last couple of years and now they have shifted their focus to clearing units instead of taking up new sites.
The site presents an attractive proposition for the developers as there are many amenities located nearby including restaurants, retail stores, banks and the Parkway Parade Shopping Centre.
There are several educational institutions located in the vicinity including Etonhouse International School, Geylang Methodist School (Primary), Canadian International School (Tanjong Katong) and the Chatsworth International School (East) Among Others.
In terms of connectivity the site is only few minutes’ walk from Dakota, Paya Lebar, and Aljunied MRT Stations.
The tender for Blossom Mansions shall close on July 31